Online ordering is no longer optional for restaurants that want to grow. Customers expect the convenience of browsing your menu, customizing their order, and paying – all from their phone. Restaurants that offer online ordering see revenue increases of 10-30%, and the gap between restaurants with and without digital ordering continues to widen.
The good news: setting up online ordering is more accessible, affordable, and faster than ever. This guide walks you through the entire process, from choosing a platform to processing your first order.
Why Online Ordering Matters
Before diving into the how, let us establish the why – because the business case is compelling:
Increased revenue. Online orders have consistently higher average values than phone or in-person orders. Digital upselling prompts, combo suggestions, and easy add-ons increase average order values by 15-25%.
Reduced errors. Phone orders are misheard, handwritten orders are misread. Digital orders are exactly what the customer selected, eliminating the 5-10% error rate common with manual order-taking.
Labor efficiency. Every online order is one less phone call for your staff to answer. During peak hours, this can free up 1-2 hours of labor per shift.
Customer data. Online orders capture contact information, order history, and preferences – data you can use for marketing, personalization, and business intelligence. Phone orders capture none of this.
24/7 availability. Customers can browse your menu and place advance orders at any time, including when your restaurant is closed. Many restaurants receive 15-20% of their online orders outside of business hours.
Step 1: Choose Your Platform
The platform decision is the most important one. There are three main approaches, each with distinct trade-offs:
Third-Party Marketplaces
Platforms like the major delivery apps list your restaurant alongside competitors. They handle the technology, payment processing, and often delivery logistics.
Pros: - Instant access to a large customer base - No technology setup required - Delivery logistics handled for you
Cons: - Commission fees of 15-30% per order (this is the critical number – on a $30 order, you may pay $4.50-$9.00 in commission) - You do not own the customer relationship or data - Limited branding and customization - Price competition with other restaurants on the platform - Customers are loyal to the platform, not to your restaurant
Your Own Branded Ordering System
Platforms like FoxiFood provide white-label online ordering that lives on your website and carries your brand. Customers order directly from you.
Pros: - Lower fees (typically flat monthly fee or lower commission than marketplaces) - You own all customer data (emails, phone numbers, order history) - Your branding, your customer relationship - Full control over menu presentation, pricing, and promotions - No side-by-side competition with other restaurants
Cons: - You need to drive traffic to your ordering page (no marketplace discovery) - Delivery logistics are your responsibility (unless the platform includes delivery management)
Custom-Built Solution
Building your own ordering system from scratch using developers.
Pros: - Complete customization - No ongoing platform fees
Cons: - High development costs ($10,000-$50,000+) - Ongoing maintenance and security responsibility - Long development timeline (months, not days) - Not practical for most restaurants
Recommendation: Most restaurants benefit from a hybrid approach: use your own branded ordering platform for direct customers (lower cost, you own the data) and maintain a presence on one or two marketplaces for discovery and reach. Over time, shift the balance toward direct orders by promoting your own ordering channels.
Step 2: Prepare Your Menu for Digital
Your digital menu is not a photocopy of your printed menu. It requires specific optimization:
Organize into clear categories. 5-7 top-level categories maximum. Customers should find what they want within 2-3 taps.
Write complete descriptions. Every item needs a description that answers the customer’s key questions: What is it? What comes with it? How big is it? In-person, a customer can ask the server. Online, the description is all they have.
Set up modifiers and customizations. Required modifiers (choose your size, select a side, pick your protein) and optional modifiers (add avocado, extra sauce, make it spicy). Think through every item and every possible customization.
Add high-quality photos for top sellers. Dishes with photos get 30-40% more orders. You do not need to photograph everything, but your top 15-20 items should have professional-quality images.
Mark dietary information. Vegetarian, vegan, gluten-free, dairy-free, nut-free, halal – tag every item that qualifies. Many customers filter by dietary preference, and missing tags mean missed orders.
Set accurate preparation times. If your system shows estimated ready times, accuracy builds trust. Overestimate slightly rather than disappoint.
Step 3: Configure Operations
The technology is only as good as the operations behind it.
Order receiving and confirmation: - Decide how orders will arrive in your kitchen: tablet notification, printer, kitchen display system (KDS) integration, or POS integration. - Set up order confirmation (automatic or manual). Automatic is faster and preferred by customers; manual gives you a chance to catch problems before confirming. - Establish a maximum order volume per time slot to prevent kitchen overload during peak periods.
Preparation workflow: - Where does the online order ticket go? Ideally, it enters the same queue as dine-in orders through your KDS or POS. A separate workflow for online orders creates confusion and inconsistency. - Assign a dedicated station or team member for packaging online orders during busy periods.
Pickup logistics: - Designate a specific pickup area. A shelf, counter, or rack near the entrance labeled with order numbers or names. - Use insulated bags or warming shelves to keep food at proper temperature while waiting for pickup. - Send a notification when the order is ready for pickup.
Delivery logistics (if applicable): - If using your own delivery drivers, set delivery zones based on realistic travel times. A 20-minute delivery radius is the maximum for food quality. - Calculate minimum order values that make delivery financially viable. Factor in driver time, fuel, and packaging costs. - Provide delivery tracking if your platform supports it – customers strongly prefer knowing where their order is.
Step 4: Set Pricing and Fees
Pricing for online orders requires careful thought:
Should online prices differ from dine-in? Many restaurants add 10-15% to online prices to cover packaging costs and platform fees. This is increasingly accepted by customers, but transparency matters. If you charge more online, make sure it is clear.
Delivery fees. Charge a delivery fee that partially or fully covers your delivery costs. Typical fees range from $2-$7 depending on distance. Offering free delivery above a minimum order value (e.g., free delivery on orders over $35) incentivizes larger orders.
Minimum order values. Set a minimum that ensures each order is profitable after accounting for packaging, payment processing, and any delivery costs. $15-$25 is a typical range.
Packaging costs. Quality takeout packaging (containers, utensils, napkins, bags, seals) costs $1-$3 per order. Factor this into your pricing.
Step 5: Promote Your Online Ordering
Having an ordering system is useless if customers do not know about it.
On your website: Place an “Order Online” button prominently on every page, especially the homepage and menu page. Make it visible without scrolling.
In your restaurant: Table tents, counter cards, receipt messages, and door stickers promoting online ordering. Include a QR code that takes customers directly to your ordering page.
On social media: Regular posts with direct links to your ordering page. Feature new menu items with “Order now” calls to action.
On Google Business Profile: Add your ordering link to your Google listing. This makes it visible to every customer who finds you through Google Search or Google Maps.
Via email and SMS: If you have a customer list, announce your online ordering launch with a special first-order promotion (10% off, free delivery, bonus item).
On packaging: Include ordering information and QR codes on all takeout bags, boxes, and receipts. Every physical touchpoint is a marketing opportunity.
Step 6: Monitor, Measure, and Optimize
Once live, track these metrics weekly:
- Online order volume: Total orders and trend over time.
- Average order value: Compare to dine-in and phone order averages. Online should be equal or higher.
- Order accuracy: Track complaints related to wrong or missing items.
- Preparation time: Average time from order receipt to ready. Target consistency.
- Customer feedback: Monitor ratings and reviews specific to online ordering.
- Platform costs: Total fees as a percentage of online revenue.
- Repeat order rate: What percentage of online customers order again within 30 days?
Common Mistakes to Avoid
Treating online orders as secondary. If online orders consistently take longer or have lower quality than dine-in, you will build a reputation for bad takeout. Apply the same quality standards to every channel.
Ignoring packaging quality. A beautifully prepared dish that arrives soggy, cold, or messy destroys trust. Invest in appropriate packaging: vented containers for crispy items, sealed containers for sauces, insulated bags for hot food.
Not updating availability in real time. Nothing frustrates a customer more than placing an order and receiving a call that the item is unavailable. If your kitchen runs out of something, disable it on the digital menu immediately.
Overcomplicating the menu. Your online menu does not need to include every item on your dine-in menu. Complex dishes that do not travel well, items that require tableside preparation, and highly customizable specials may be better kept as dine-in exclusives.
Key Takeaways
- Online ordering increases revenue by 10-30% with higher average order values and reduced errors compared to phone orders.
- Choose your platform strategically: own branded systems (like FoxiFood) offer lower fees and customer data ownership; third-party marketplaces offer discovery and delivery logistics.
- Optimize your digital menu with clear categories, complete descriptions, modifiers, photos for top items, and dietary labels.
- Configure operations carefully: decide how orders enter the kitchen, set capacity limits, and designate pickup/delivery workflows.
- Promote your ordering system everywhere: website, in-restaurant signage, social media, Google Business Profile, email, and on packaging.
- Track weekly metrics including order volume, average order value, accuracy, preparation time, and repeat order rate.
- Avoid common mistakes: never treat online orders as secondary, invest in quality packaging, and keep menu availability updated in real time.
Setting up online ordering is a one-week project that generates returns for years. Start with your branded ordering platform, optimize your menu for digital, configure your operations, and promote it everywhere your customers already are. The sooner you start, the sooner you capture the revenue that is waiting.